 "BGR Energy settles disputes with Hitachi, Japan")
Shares of BGR Energy Systems hit an over three-year low of Rs 38.11, down 4 per cent on the BSE in Wednesday’s intra-day trade extending its month-long fall. In the past one month, the stock tanked 68 per cent from its 52-week high of Rs 119.48 that it touched on February 20.
BGR Energy on Tuesday informed the stock exchanges that State Bank of India's, Stressed Asset Management Branch on March 18, 2024 informed the company via email that Chaturvedi & Company have been entrusted with conducting forensic audit on the company.
Reasons for the forensic audit have not been specifically stated in their email, the company said. CLICK HERE FOR FULL STATEMENT
At 12:24 pm; BGR Energy was quoting 2.4 per cent higher at Rs 40.50, bouncing back 6 per cent from its intra-day low on the BSE.
Meanwhile, last week, BGR Energy informed the bourses that Mangalore Refinery and Petrochemicals Limited (MRPL) has cancelled a contract worth Rs 112.75 crore.
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In October 2023, the Product Business Division of the company had secured an order from MRPL for supply of air cooled heat exchangers.
Non-adherence to the time schedule of the contract, non-compliances with the terms and conditions, non- performance and breach have been stated as the reasons for the termination, the company said.
Last month, on February 9, Tamil Nadu Generation and Distribution Corporation (TANGEDCO) had terminated the contract for 1x660 MW Supercritical Ennore Thermal Power Station Expansion Project for an amount of Rs 4,442.75 crore awarded to the company via amending the letter of intent (LOI) on 09/03/2022 and encashed the performance bank guarantee on 02/02/2024.
On February 27, BGR Energy in an exchange filing, said that its four directors—M. Gopalakrishna, S.A. Bohra, Gnana Rajasekaran, and S.R. Tagat—had tendered their resignations, due to personal reasons.
In another filing, the company stated that P R Easwar Kumar President & Chief Financial Officer had resigned on February 8, 2024. S Krishna Kumar President & Company Secretary/Compliance Officer had also resigned on February 9, 2024.
Furthermore, according to disclosure made by BGR Energy, Promoter Sasikala Raghupathy had offloaded its entire 23.99 per cent stake or 17.31 million shares of the company for Rs 127 crore in the open market. CLICK HERE FOR DETAILS
In the October to December quarter (Q3FY24), the civil construction company had reported a consolidated net loss of Rs 690.31 crore, compared to a loss of Rs 58.92 crore in the year-ago period.
During Q3, the company received communication from the banks regarding classification of credit exposure of the company as 'Substandard' pursuant to Reserve Bank of India (RBI) divergence report. BGR Energy enjoys credit facilities from 12 banks amounting to Rs 3,894 crore. Out of this, 8 banks have classified the account as NPA amounting to Rs 3,346 crore, BGR Energy stated in result notes.
